TROUBLED Blues’ parent group Birmingham International Holdings has issued a profit warning – blaming a “substantial loss” on relegation from the Premier League.

The holding company also announced that its annual results for the year to June 30 2011 would be delayed further for three months to January 31, while the annual report would not be issued until February 15.

The announcement, made to the Hong Kong Stock Exchange, said: “The Board wishes to inform the shareholders and potential investors that it is expected the group will record a substantial loss for the year ended June 30, 2011.

“Based on the information currently available, such loss is mainly due to the substantial impairment losses in respect of intangible assets, mainly as a result of the relegation of Birmingham City from the Premier League to the League Championship.”

But stockbroker Peter Knowles said following the announcement that Blues fans should not panic yet.